MDR stock is running in after-hours trading on December 13, 2019.
On December 12, 2019, McDermott International, Inc. (NYSE: MDR) announced that it has been awarded a sizeable* technology contract for Next Wave Energy Partners, LP’s grassroots alkylate production facility, known as Project Traveler, in Pasadena, Texas.
McDermott’s Lummus Technology is providing the PDP and license for its unique ethylene dimerization process. Lummus Technology’s proprietary Dimer® process converts ethylene to an unmatched high purity butene-2 feed stream ideal for producing an alkylate with a higher-octane value. Higher quality alkylate is used for blending cleaner-burning gasoline required by the demands of modern and future high-performance engines.
“Lummus’ vast portfolio of petrochemical and refining options is enabling producers to produce an array of higher-value products from available feed streams. The innovative approach to producing alkylate from ethylene for Project Traveler is one such example,” said Leon de Bruyn, Senior Vice President, Lummus Technology. “Alkylate is one of the cleanest petroleum products that is high in octane, yet low in vapor pressure, sulfur and aromatics. As the world transitions to more sustainable energy sources, Lummus will continue to deliver innovative solutions that help customers and end users lower their carbon footprints.”
When operational in mid-2022, the facility will have the capability to consume 1.2 billion pounds per year of ethylene feedstock producing an estimated 28,000 barrels per day of alkylate.
McDermott’s Lummus Technology is a leading licensor of proprietary petrochemicals, refining, gasification and gas processing technologies, and a supplier of proprietary catalysts and related engineering. With a heritage spanning more than 100 years, encompassing approximately 3,400 patents and patent applications, Lummus Technology provides one of the industry’s most diversified technology portfolios to the hydrocarbon processing sector.
The award for the license and PDP will be reflected in McDermott’s fourth quarter 2019 backlog.
*McDermott defines a sizeable contract as between USD $1 million and USD $50 million.
On December 9, 2019, McDermott International, Inc. (NYSE: MDR) along with its partners, Chiyoda International Corporation and Zachry Group, today announced the beginning of commercial operation of Train 1 by owner Freeport LNG Development, L.P.
“The past few months have brought significant accomplishments for Train 1 of the Freeport LNG project—starting with introduction of feed gas in July, first liquid in August, shipment of first cargo in September and now commercial operation,” said Mark Coscio, McDermott’s Senior Vice President for North, Central and South America. “Congratulations to the joint venture project team whose commitment to safety and quality has remained strong throughout the project.”
Zachry Group, as the joint venture lead, partnered with McDermott for the Pre-FEED in 2011, followed by FEED works to support the early development stage of the project as a one-stop shop solution provider for Trains 1 and 2. Later Chiyoda joined the joint venture partnership for work related to Train 3. The project scope includes three pre-treatment trains, a liquefaction facility with three trains, a second loading berth and a 165,000 m3 full containment LNG storage tank.
Freeport LNG Trains 2 and 3 remain on track to meet their previously announced schedules, with first liquid from Train 2 being announced on Dec. 6 and Train 3 initial production of LNG scheduled for Q1 of 2020.
On December 2, 2019, McDermott International, Inc. (NYSE: MDR) and its joint venture partner, Chiyoda International Corporation, a U.S.-based wholly-owned subsidiary of Chiyoda Corporation, Japan, today announced that Train 2 of the Cameron project, located in Hackberry, La., has reached the final commissioning stage. This includes the introduction of pipeline feed gas into Train 2 of the liquefaction export facility, the precursor for the production of liquefied natural gas (LNG). This achievement is yet another significant milestone during 2019 and the first for Train 2.
McDermott announced introduction of feed gas to Train 1 on April 15, 2019, which was followed by first liquid on May 14 and first cargo from Train 1 on May 31. On August 19, Cameron LNG announced that Train 1 began commercial operation, following its substantial completion.
“Congratulations to the entire Cameron LNG project team who continues to make strides on this project and remains focused on providing stellar project delivery as we reach another notable milestone,” said Mark Coscio, McDermott’s Senior Vice President for North, Central and South America.
McDermott and Chiyoda have provided the engineering, procurement and construction for the Cameron LNG project since the project’s initial award in 2014. The project includes three liquefaction trains with a projected export of 12 million tonnes per annum of LNG, or approximately 1.7 billion cubic feet per day.
Cameron LNG is jointly owned by affiliates of Sempra LNG LLC, Total, Mitsui & Co. Ltd. and Japan LNG Investment, LLC, a company jointly owned by Mitsubishi Corporation and Nippon Yusen Kabushiki Kaisha (NYK).